How Many Pay Periods in a Year? A 2026 Payroll Guide

Managing employee payroll is vital to running a successful business. While many tasks are associated with payroll management and compliance, they’re all based on which employee payroll schedules you choose.

Not all companies operate on the same pay schedule. While most companies pay their employees biweekly, that is not your only option as an employer. The best payroll schedule for your company depends on many factors, including but not limited to the size of your business.

Understanding the difference between pay periods can help you determine which payroll schedule is the best fit for your business and how many pay periods in a year you can process. This guide for employers covers everything from pay period frequency to choosing the right pay schedule for your workforce.

Key Takeaways

• Pay period choice directly affects payroll frequency: 52 (weekly), 26 (biweekly), 24 (semi-monthly), or 12 (monthly) pay periods annually.
• State laws mandate minimum pay frequencies, making compliance essential before choosing a schedule. For example, New York requires weekly pay for manual workers while Alabama has no requirements at all.
• Biweekly schedules occasionally produce 27 pay periods in certain years, requiring advance budget planning to avoid cash flow surprises.

What Is a Pay Period?

A pay period is the time frame for which an employee is paid when they receive their paychecks. The pay date comes at the end of every pay period or whenever a business owner can process payroll.

Pay periods have scheduled start and end dates that, in most cases, occur consecutively. For example, if the first pay period of the year is expected to end on Jan. 15, the next pay period would begin on Jan. 16 or the next business day.

Following a set pay period schedule helps employers manage cash flow and keep their accounts organized. Any errors made in a paycheck concerning under or overpayment can be easily traced to the corresponding pay period.

Regular pay period schedules can also help employees keep track of how much they were paid for the allotted period that they worked. When employees understand the payroll schedule, they can better manage their finances and understand the value of their work. It also helps promote salary transparency.

Keep in mind that employee pay periods are different from an employer’s payroll filing periods. Those payroll tax deadlines are determined by the IRS as well as state and local tax offices. Depending on the type of tax, they may be due monthly, semi-monthly, or quarterly.

Different Types of Payroll Schedules

The different types of pay periods are based on the duration of the pay period as well as how often an employee gets paid. Typically, employers can choose from four main types of payroll schedules. Understanding various payroll frequencies helps you select the right option for your business needs.

Weekly Pay Periods

Weekly pay periods are popular with employees, as it means that they receive their paychecks more often than they would on other schedules. This frequent pay schedule means hourly employees benefit from better cash flow management.

Employees are paid on the last day of the week for their completed work. A weekly pay schedule makes scheduling easy but can increase workload for employers through more payroll processing.

Advantages:

• Easier overtime tracking and weekly expense management
• Higher employee satisfaction from frequent paychecks
• Better cash flow for hourly workers

Drawbacks:

• 52 payroll runs annually increase administrative costs
• Higher processing fees from payroll providers
• More time-intensive for HR teams

Biweekly Pay Frequency

With a biweekly payroll schedule, pay periods are two weeks long. Employees are paid every two weeks.

While many employers prefer biweekly pay periods, they may be harder to schedule than weekly pay periods. However, this remains the most popular choice among employers nationwide.

Advantages:

• Balances pay frequency with administrative efficiency
• Most popular option (43% of U.S. employers)
• Simplifies tracking for both hourly and salaried employees

Drawbacks:

• Some years have 27 pay periods instead of 26, complicating budgets
• Paydays don’t align with month-end for benefit deductions
• Can create confusion around which expenses fall in which period

Semi-Monthly Pay Schedule

Semi-monthly payroll schedules are often confused with biweekly schedules because both typically pay employees twice a month (depending on how many weeks in the month).

In most cases, the first pay period of a semi-monthly starts on the first of the month and ends on the 15th of the month. The second pay period often starts on the 16th and ends on the last day of the month.

Unlike biweekly pay periods, semi-monthly pay periods are not exactly two weeks long but may instead be 15 to 16 days each. This affects how many paychecks employees receive and how monthly payments align with their expenses.

Advantages:

• Consistent payment dates simplify financial planning
• Aligns with monthly benefit deductions and rent schedules
• Only 24 payroll runs reduce administrative burden

Drawbacks:

• Pay periods vary in length (14-16 days), complicating hourly calculations
• Overtime calculations become more complex
• Paydays falling on weekends require schedule adjustments

Monthly Pay Frequency

Some employers employ monthly pay schedules, under which employees are paid once a month, typically at the end of the month. While monthly pay periods make scheduling smoother, they are not very popular among employees.

Advantages:

• Lowest administrative burden with just 12 payroll runs
• Simplest processing for salaried employees
• Reduced payroll provider fees

Drawbacks:

• Least popular with employees due to long pay cycles
• Creates cash flow challenges for workers with unexpected expenses
• Not suitable for hourly employees or industries requiring frequent pay

Custom Pay Periods

Depending on their needs, employers may choose to employ a custom pay schedule with paydays that deviate from the four main types. For instance, an employer may set a pay period from January 15 to February 15 instead of from January 1 to January 31.

The Number of Pay Periods by Schedule

The pay schedule you choose directly impacts the number of pay periods in a year, which affects how taxes and deductions are taken out of wages. The number of paychecks also determines how a salaried employee’s gross pay is divided by paycheck. Understanding how many pay periods exist for each schedule helps with payroll administration and annual budgeting.

Here is an overview of the number of pay periods for different payroll schedules:

• Weekly Pay Period: Because there are 52 work weeks in a year, there are typically 52 pay periods under a weekly payroll schedule. Leap years may have 53 pay periods a year. This means weekly payments occur throughout the entire year for payroll purposes.
• Biweekly Pay Period: When employees are paid every two weeks, they have 26 pay periods a year. A leap year may have 27. This impacts the number of pay weeks tracked by your payroll system.
• Semi-Monthly Pay Period: An employee under a semi-monthly schedule is paid twice a month or 24 times a year. This creates the fewest paychecks per year among frequent pay periods.
• Monthly Pay Period: There are 12 pay periods a year under a monthly pay schedule—one for each month of the year.

Planning for the Extra Pay Period

Employers using biweekly schedules need to plan for occasional years with 27 pay periods instead of the standard 26. This happens roughly every 11 years when the calendar alignment creates an extra payday. Years like 2026, 2037, and 2048 will all have 27 biweekly pay periods.

The extra pay period creates budget challenges. Salaried employees still receive their full annual salary, but it’s divided across 27 paychecks instead of 26, making each check slightly smaller. Benefit deductions may need payroll adjustments, and employers face higher annual payroll costs from the additional processing run.

Smart planning prevents surprises. To that point, review your payroll calendar at year-end to identify 27-pay-period years. Adjust annual budgets accordingly, accounting for the extra payroll expenses. Then communicate changes to employees early so they understand why paychecks look different. Finally, update benefit deduction calculations to ensure annual amounts remain correct across all 27 periods. Using payroll software can help automate these payroll cycles and prevent errors.

Choosing the Right Pay Schedule for Your Business

When deciding which payroll schedule is best for your company, there are many different factors to consider. The first is state laws—most states require minimum pay frequency timeframes with different stipulations and exceptions from state to state. Understanding payday requirements is essential for compliance.

For example, New York requires weekly pay for manual workers, while California mandates semi-monthly pay with specific date windows. Connecticut requires weekly pay periods but may allow exceptions for monthly periods, but Rhode Island requires weekly pay unless employers receive special approval. In Arizona, paydays cannot be more than 16 days apart. Alabama, Florida, and South Carolina have no state pay frequency requirements at all.

The point is, these variations make multi-state compliance complex, especially for growing businesses with employees in multiple jurisdictions.

So, after determining which state laws apply to you, think about how pay frequency influences your business expenses and employee preferences. For example, you may not be able to handle the administrative costs of running payroll on a weekly basis.

Another one of these factors is whether or not your workers are salaried, hourly, or contract workers. For example, hourly employees are often paid weekly as it is much easier to track the hours worked and overtime pay for each week than each month. A weekly pay results in more frequent employee compensation but requires more payroll processing. On the other hand, contract workers are often paid for specific tasks or shorter durations of time, which may warrant a custom pay period.

You may also consider the size of your company. The shorter your pay cycles, the more often you’ll have to run payroll, which can be daunting if your small business will see significant growth over the next year. Companies with many employees often opt for biweekly or semi-monthly pay to make payroll less time-consuming. Consider pay rates and employee benefits when evaluating which schedule works best.

The most common pay period schedule is the biweekly pay schedule, which is used by an estimated 43 percent of businesses in the country. The second most commonly employed schedule is the weekly schedule, with monthly payroll periods being the least common.

Changing Your Pay Period Schedule

While you can change your company’s pay period during the year, the Fair Labor Standards Act requires specific steps to remain compliant. First, provide written notice to employees at least 30 days before the change takes effect. This gives workers time to adjust their budgets and understand the new schedule.

You must continue paying employees under the old schedule until the new one officially begins. This prevents wage gaps that could violate labor laws. Changes must be permanent with a legitimate business reason. Therefore, you cannot switch pay periods temporarily or use changes to avoid overtime or minimum wage obligations.

State requirements add another layer of complications. Some states mandate specific approval processes or impose additional notice periods beyond federal requirements. When managing employees across multiple states, you must coordinate timing carefully to satisfy all applicable laws simultaneously. Payroll services can help navigate these complex transitions.

How To Use a Payroll Calendar To Determine Pay Dates

A payroll calendar helps you determine pay period dates based on your chosen pay schedule. At the end of every calendar year, outline pay dates for the next year for payroll based on the pay schedule. This becomes your roadmap for the entire year for payroll operations.

In this calendar, you can also include payroll processing dates for HR professionals as well as important tax deadlines. Account for weekends and holidays when banks may be closed. For instance, if you choose a semi-monthly pay period that issues checks on the first and 15th of the month, you will have to change the dates when they fall on Saturdays.

Making a payroll calendar can help you stay organized. They also make payroll schedules accessible to employees and partners. Share this calendar with your employees in several channels, and be ready to answer any questions they may have. Consider how monthly expenses align with your chosen paydays to support better employee financial planning.

Simplifying Payroll Compliance with Mosey

No matter which pay schedule you choose to employ, you need to ensure you follow state and local legislation regulating pay. Mosey can tell you when you need to open payroll accounts in which states and localities and what your filing frequency will be. No matter where your employees are located, you can see which state laws apply to your company and accurately determine withholding, unemployment insurance, and paid family medical leave (where applicable).

Mosey’s easy-to-use online platform can smooth payroll management so your HR team focuses more on helping employees. Our automated payroll system tracks compliance requirements across all 50 states, reducing the administrative burden of managing multiple jurisdictions.Schedule a demo today to see how Mosey can help your growing business.

Frequently Asked Questions: How Many Pay Periods in a Year?

How many biweekly pay periods are there in 2026?

There are 27 biweekly pay periods in 2026 instead of the typical 26. This happens because of how the calendar days align, creating an extra pay period roughly every 11 years for employers using biweekly schedules.

Is it possible to have 27 pay periods in a year?

Yes, biweekly pay schedules can have 27 pay periods in certain years. While most years have exactly 26 biweekly pay periods, the calendar occasionally creates an extra one. Weekly schedules can similarly have 53 pay periods in leap years, while semi-monthly and monthly schedules always have 24 and 12 periods respectively, regardless of the calendar year.

Why are there 26 pay periods in a year?

There are 26 biweekly pay periods in most years because 52 weeks divided by 2 equals 26. Since biweekly means every two weeks, and most years have 52 weeks, employees receive 26 paychecks annually under this schedule.

Why does 2026 have 27 pay periods?

2026 has 27 biweekly pay periods because of how January 1, 2026 falls on a Thursday. This calendar alignment means that if you pay employees every other week throughout the year, you’ll process 27 payrolls instead of 26. The same thing happens in 2037 and 2048, following an approximate 11-year cycle.

Is it better to be paid weekly or monthly?

Weekly pay is better for hourly workers who need frequent cash flow and easier overtime tracking, while monthly pay works better for salaried employees and reduces administrative burden for employers. The best choice depends on your workforce composition, state law requirements, and administrative capacity. Most employers find biweekly schedules offer the best balance between employee satisfaction and operational efficiency.

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